My question involves criminal law for the state of: Texas
Would this activity be considered illegal: A city employee has a business they operate during the off duty hours. The city has a very clear policy that city employees cannot engage in business with the city outside of their actually job responsibilities. The city posts a a public bid for service. The employee wants the contract but knows they cannot bid on it. So, the employee transfers the ownership of the business to an immediate relative for a $1.00. This business, per the employee, is worth $3 million. The business wins the contract and the employee profits from it. Is this in anyway considered fraud?

